PTT Public Company Limited (SET: PTT) has announced its 3Q24 consolidated financial statement through the Stock Exchange of Thailand as follows:
| Quarter | 3Q24 | 3Q23 |
| Net Profit (Loss) Million Baht |
16,323.62 | 31,297.14 |
| Earning Per Share (Baht) |
0.5700 | 1.0900 |
| % Change | -47.84 | |
| 9 Months | 2024 | 2023 |
| Net Profit (Loss) Million Baht |
80,760.51 | 79,258.87 |
| Earning Per Share (Baht) | 2.8300 | 2.7700 |
| % Change | 1.89 | |
PTT reported a net profit of Baht 16,324 million in 3Q24, decreased by Baht 14,973 million or 47.8% from the 3Q2023 at Baht 31,297 million following the decline in EBITDA, which was mainly due to the decline in Petrochemical and Refining business’s performance. The decline was due to an increase in stock loss. Meanwhile, the profit for its nine-month period of 2024 was Baht 80,760 million, representing an increase by nearly 2% YoY.
Despite a slight drop in 3Q24 sales revenue, the company maintained its 9M24 sales at a higher level, recording at Baht 2.366 trillion with a gain of 1.2% from the first nine months in 2023.
Moreover, there was a loss on recognition of non-recurring items of approximately Baht 9,500 million in 3Q2024 mainly from share of impairment loss of asset from PTT Asahi Chemical Co., Ltd. (PTTAC) and impairment loss of asset of Vencorex Group of PTT Global Chemical Public Co., Ltd. (GC) at a total value of Baht 13.8 billion.
In 3Q2024, sales revenue of PTT and its subsidiaries was reported at Baht 761,858 million decreased from 3Q2023 by Baht 40,864 million or 5.1%, mainly from International Trading business, Oil and Retail business, Petrochemical and Refining business, and Exploration and Production business, as a result of lower selling price following global oil price.
PTT and its subsidiaries’ stock loss in 3Q2024 was approximately Baht 20,000 million, whereas in 3Q2023, there was a stock gain of approximately Baht 20,000 million. Additionally, Market Gross Refining Margin (Market GRM) decreased from US$ 11.3 per bbl in 3Q2023 to US$ 2.9 per bbl in 3Q2024, mainly from lower spread of most refined product prices over crude oil price. On the other hand, Petrochemical business’s performance increased from higher product to feed spread, while refineries’ utilization rates increased from 101.0% in 3Q2023 to 103.9% in 3Q2024.
Meanwhile, International Trading business’s performance declined, mainly due to a recognition of unrealized loss (Mark-to-market) on goods in transit. Oil and Retail business’s performance also declined due to lower average gross margin per liter and sales volume. Moreover, Gas business’s performance decreased from Gas Separation Plant (GSP) business due to higher cost of sales resulting from the implementation of Single Pool Gas policy for gas price calculation in this year, along with a decrease in sales volume, in spite of higher average selling price.
In addition, the performance of subsidiaries in the gas business group declined mainly from PTT LNG Co., Ltd. (PTTLNG) due to the reduction of its shareholding in the LNG Terminal 2 project (LMPT2). Meanwhile, Supply and Marketing (S&M) and Natural Gas for Vehicles (NGV) businesses experienced an increase in gross profit due to lower gas cost following Pool gas price. Moreover, Transmission pipeline (TM) business’s performance increased following higher pipeline reserved volume.
The company wrote in a note that according to S&P Global’s report in October 2024, global oil demand in 2024 is expected to increase by 1.0 MMBD, reaching to 104.6 MMBD. The growth in demand aligns with the continuing global economic expansion and expectation of interest rate cuts in the U.S. Meanwhile, geopolitical tensions continue to linger. The market remains focused on production control policies from the OPEC+ countries, which is set to end production cuts in December 2024. However, supplies from non-OPEC+ countries are consistently increasing. In 2024, Dubai’s crude oil price is expected to average US$ 75 – 85 per barrel, and Singapore’s GRM is expected to average US$ 4.2 – 5.2 per barrel.
However, petrochemical product prices in 4Q2024 are expected to decline, pressured by increasing market supply from new production capacities in China and additional petrochemical plants resuming operations after maintenance amid persistently weak demand in the downstream market.
